Tractor Supply (NASDAQ:TSCO) Issues Quarterly Earnings Results, Misses Estimates By $0.03 EPS

Tractor Supply (NASDAQ:TSCO) posted its quarterly earnings data on Thursday. The specialty retailer reported $0.43 earnings per share for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.03), FiscalAI reports. Tractor Supply had a return on equity of 46.18% and a net margin of 7.18%.The firm had revenue of $3.90 billion during the quarter, compared to analysts’ expectations of $4.03 billion.

Here are the key takeaways from Tractor Supply’s conference call:

• Tractor Supply reported Q4 results below expectations with net sales up 3.3% and comps only +0.3%, which management attributes to a roughly 100 basis-point headwind from cycling last year’s storm recovery, softer big-ticket discretionary demand, and a highly promotional holiday period.
• For 2026 the company guided to total sales growth of 4%–6%, comps of 1%–3%, diluted EPS of $2.13–$2.23, an operating margin target of 9.3%–9.6%, plans to open ~100 new stores, and $375M–$450M in share repurchases.
• Management is scaling strategic growth initiatives — including direct sales (doubling the specialist force, targeting meaningful incremental sales), final‑mile delivery expansion to ~375 hubs (>50% store coverage), and deeper integration of Allivet (≈$100M in 2025) — which it says are gaining traction and expected to contribute materially to comps over time.
• Margin pressure in Q4 came from elevated promotions, tariffs and higher delivery costs (gross margin down ~10 bps in Q4), and while management expects gross margin expansion in H2 2026, it also expects some SG&A deleverage and near‑term drag from delivery and tariff-related costs.
• Customer fundamentals remain resilient: identified customers +2%, Neighbors Club now represents >80% of sales, digital grew high single digits, and the company opened 99 productive stores in 2025 while improving distribution center productivity.

Tractor Supply Stock Down 7.6%

Shares of NASDAQ TSCO opened at $50.96 on Friday. Tractor Supply has a 12-month low of $46.85 and a 12-month high of $63.99. The stock’s fifty day simple moving average is $52.34 and its two-hundred day simple moving average is $55.73. The stock has a market capitalization of $26.93 billion, a PE ratio of 24.50, a price-to-earnings-growth ratio of 2.58 and a beta of 0.74. The company has a current ratio of 1.30, a quick ratio of 0.14 and a debt-to-equity ratio of 0.69.

Tractor Supply Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, December 9th. Shareholders of record on Monday, November 24th were given a dividend of $0.23 per share. This represents a $0.92 annualized dividend and a yield of 1.8%. The ex-dividend date of this dividend was Monday, November 24th. Tractor Supply’s dividend payout ratio (DPR) is 44.23%.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on TSCO. Gordon Haskett lowered Tractor Supply from an “accumulate” rating to a “hold” rating and reduced their target price for the stock from $57.00 to $50.00 in a research note on Thursday, January 8th. Guggenheim reaffirmed a “buy” rating and issued a $65.00 price target on shares of Tractor Supply in a research note on Thursday, January 22nd. UBS Group set a $57.00 price objective on shares of Tractor Supply and gave the company a “neutral” rating in a research report on Friday, January 16th. Wolfe Research reaffirmed an “outperform” rating on shares of Tractor Supply in a research report on Friday. Finally, Stephens set a $53.00 price target on shares of Tractor Supply and gave the company an “equal weight” rating in a research note on Thursday, January 22nd. Fourteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $61.52.

Key Tractor Supply News

Here are the key news stories impacting Tractor Supply this week:

• Positive Sentiment: Analysts reaffirm Buy/Outperform ratings and upbeat price targets that cushion downside — Citi’s Steven Zaccone reiterated a Buy and $61 target. Article Title
• Positive Sentiment: Telsey Advisory reaffirmed an Outperform with a $70 price target, signaling some analysts see longer‑term upside despite the near‑term weakness. Article Title
• Neutral Sentiment: Comparable-store sales showed modest improvement (reports cite a small comps rise), indicating demand isn’t collapsing even as discretionary spending shifts. Article Title
• Neutral Sentiment: Management framed the quarter as a balance of headwinds and ongoing growth initiatives on the earnings call — useful context but not an immediate fix for margin/guide misses. Article Title
• Negative Sentiment: Q4 EPS missed: $0.43 vs. consensus $0.46, and revenue missed at $3.90B vs. $4.03B — the core cause of the stock weakness. Press Release
• Negative Sentiment: FY2026 guide came in light of consensus — EPS $2.13–2.23 vs. Street $2.31, and revenue $16.1B–16.5B vs. ~$16.6B — pushing expectations lower for the year. Read More.
• Negative Sentiment: Management cited margin pressure from tariffs, higher delivery/transport costs and a pullback in discretionary spending — structural cost and demand issues that could weigh on near‑term profit margins. Article Title
• Negative Sentiment: Market reaction: coverage notes and headlines show shares pulled back sharply after the print, reflecting investor focus on the misses and weaker guide. Article Title

Institutional Investors Weigh In On Tractor Supply

A number of institutional investors have recently added to or reduced their stakes in the stock. Bison Wealth LLC boosted its holdings in shares of Tractor Supply by 356.1% in the 4th quarter. Bison Wealth LLC now owns 6,426 shares of the specialty retailer’s stock valued at $341,000 after buying an additional 5,017 shares in the last quarter. NorthRock Partners LLC raised its stake in shares of Tractor Supply by 13.9% during the 3rd quarter. NorthRock Partners LLC now owns 9,598 shares of the specialty retailer’s stock worth $546,000 after acquiring an additional 1,173 shares in the last quarter. Laird Norton Wetherby Wealth Management LLC lifted its position in Tractor Supply by 2.8% during the third quarter. Laird Norton Wetherby Wealth Management LLC now owns 9,651 shares of the specialty retailer’s stock valued at $549,000 after acquiring an additional 266 shares during the last quarter. Sunbelt Securities Inc. boosted its stake in Tractor Supply by 2.0% in the third quarter. Sunbelt Securities Inc. now owns 18,366 shares of the specialty retailer’s stock valued at $1,044,000 after acquiring an additional 365 shares in the last quarter. Finally, Boothbay Fund Management LLC grew its holdings in Tractor Supply by 140.1% in the third quarter. Boothbay Fund Management LLC now owns 10,626 shares of the specialty retailer’s stock worth $604,000 after purchasing an additional 6,201 shares during the last quarter. Institutional investors own 98.72% of the company’s stock.

About Tractor Supply

Tractor Supply Company (NASDAQ: TSCO) is a specialty retailer focused on products for the home, farm, ranch and outdoors. The company operates a network of physical retail locations complemented by an e-commerce platform, offering a one-stop source of supplies and equipment for customers with rural and suburban lifestyles. Its merchandise assortment targets a range of needs, from animal and livestock care to maintenance, outdoor power equipment, and seasonal products.

Product categories include animal feed and supplies, pet products, fencing and fencing supplies, equine equipment, lawn and garden tools, work clothing and footwear, and small agricultural and outdoor power equipment.